Who would have thought that America will experience its worst downfall? Unemployment rates have risen to 9.8 percent this year alone. This only means that almost a tenth of America¡¯s population has no source of income and has nothing to pay their debts. In addition to that, this issue of lack of income has resulted to unpaid dues which in turn have also resulted into poor credit scores. To top all of that, more and more people are denied of their loan applications. This has become an unending cycle of unemployment, unpaid debts and the much dreaded recession of America¡¯s economy.

The government has not sleep through this though. It has tried to amend the FCRA (the Federal Fair Credit Reporting Act) to give more protection to consumers. The government also went to as far as creating an agency (The Consumer Financial Agency) to see to it that the rights of the consumers are not abused. Now that it is doing its part, how about us, citizens of the land? For starters, Industry Specialists have laid down the cards. Here are 5 ways to give your credit score that much needed boost after you have acquired your free credit report:

1. Pay your debts on time ¨C sure it¡¯s a difficult time but find ways. This will have a great effect to your credit score and report. Remember that payment history makes up 35% of your total credit score. Try not to have delayed payments of 120 days. This implies serious delinquency to creditors.
2. Be mindful of the debts that you owe and the amount ¨C try calculating the total of all your credit card bills, mortgages, car loans and other debts. This makes up the other 30% of your total credit score.
3. Have a solid credit history ¨C for you to score 800 or higher, you should show creditors that you have a history long enough for lenders and creditors to trust you. As they say, a bad history is better than having no history at all. This will surely give a 15% boost to your credit score.
4. Do not cut old credit cards ¨C this will give the impression to creditors that you are the type who pays as agreed and in doing so, you are leaving a positive mark on your credit report.
5. Be very prudent on your loan applications ¨C this could affect 10%of your total score. When doing inquiries regarding loan application, personally do it. Third parties only hinder the process and might even affect loan approvals. Be mindful of the types of the loans you apply for and the types of accounts you open. Remember that all these actions are to be reported under your name. You are held responsible for it.

The last thing you need to be is to be considered to creditors as high risk clients. You have to do all you can to avoid being branded as such. Hard times are undeniable but there are still ways to improve your present status. Do your part as a responsible consumer and the rest will follow.